Microsoft fixing Passport
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August 10, 2001: 8:48 a.m. ET
Report: software maker addressing privacy concerns in new Web ID service
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NEW YORK (CNNfn) - Microsoft Corp. is working to settle privacy issues with its controversial new Passport service, according to a published report Friday.
Microsoft will require merchants that use Passport to support privacy technology, will gather less personal information from new users and will shift responsibility for payment authorization and a database of user information to other parts of Microsoft, according to a Wall Street Journal report.
Redmond, Wash.-based Microsoft plans to include links to Passport -- which stores computer users' log-in names, passwords and other information to make Web navigation quicker -- with its new Windows XP operating system, scheduled for release in October.
Critics worry Microsoft could merge the Passport databases, which include credit-card and other personal information, into one file on every user, giving Microsoft the ability to track users' movements and market to them.
Microsoft said it would not use Passport data for these purposes and would separate the authentication data from the billing and personal information, according to the report. Passport's authentication service will also require less information from new users, the report said.
Click here for CNNfn.com's special report: Microsoft on Trial
Microsoft, which earlier this week asked the U.S. Supreme Court to overturn a federal appeals court ruling that the software company is an illegal monopoly, has come under fire recently from several of its competitors, including CNNfn parent company AOL Time Warner (AOL: Research, Estimates), who claim the company's plans for Windows XP are further evidence of anticompetitive practices.
Microsoft (MSFT: Research, Estimates) shares closed Thursday up 15 cents at $65.01.
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